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प्रश्न
Sujata Ltd. invited applications for issuing 50,000, 9% Debentures of ₹ 100 each at a discount of 10% redeemable at par after 5 years. The debentures were fully subscribed and all money was duly received. The company had a balance of ₹ 3,00,000 in Securities Premium which it decided to use for writing off the discount/loss on issue of debentures. It also decided to write off the remaining discount/loss on issue of debentures in the first year.
Pass the Journal entries for issue of debentures and for writing off discount/loss on issue of debentures.
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उत्तर
| Journal Entries in the Books of Sujata Ltd. |
||||
|---|---|---|---|---|
| Date | Particulars | L.F. | Debit (₹) | Credit (₹) |
| 1. | Bank A/c ...Dr. | 45,00,000 | ||
| Discount on Issue of Debentures A/c ...Dr. | 5,00,000 | |||
| To 9% Debentures A/c | 50,00,000 | |||
| (Being 50,000, 9% Debentures of ₹ 100 each issued at 10% discount and redeemable at par) | ||||
| 2. | Securities Premium A/c ...Dr. | 3,00,000 | ||
| Statement of Profit & Loss A/c (Finance Cost) ...Dr. | 2,00,000 | |||
| To Discount on Issue of Debentures A/c | 5,00,000 | |||
| (Being discount on issue of debentures written off, ₹ 3,00,000 against Securities Premium and balance ₹ 2,00,000 against Statement of Profit & Loss) | ||||
Working Note:
Face value of Debentures:
50,000 × ₹ 100 = ₹ 50,00,000
Discount on Issue:
₹ 50,00,000 × 10% = ₹ 5,00,000
Amount received:
₹ 50,00,000 − ₹ 5,00,000 = ₹ 45,00,000
Writing off Discount:
Discount on Issue = ₹ 5,00,000
Less: Securities Premium = ₹ 3,00,000
Balance written off to Statement of Profit & Loss = ₹ 2,00,000
